Given :
The principal P is borrowed at simple interest rate r for a period of time t.
so, the interest = P * r * t
5. P = $5000 , r = 7% = 0.07 , t = 1 year
so,
interest = 5000 * 0.07 * 1 = 350
so, the loan's future value = A = 5000 + 350 = $5,350
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